Features
Three is the magic number: the key ingredients to delivering inclusive insurance
It is in the world’s best interest to make insurance inclusive. Unfortunately, many low-income groups vulnerable to climate shocks are unable (or unaware on how) to access financial services for their own resilience; and even when they’re able, policies are often unaffordable.
Seeing risk management as a priority, the insurance industry simply cannot stand by and let this continue. But how exactly can insurers deliver insurance that is truly inclusive? And what does it take to ensure products and services are both tailored, affordable and accessible?
The International Conference on Inclusive Insurance 2022, which took place in Kingston, Jamaica last month provided some illuminating insights that could help pave the way.
Protecting small-scale fisheries through aquaculture insurance
The fishing industry makes up one of the largest commercial sectors in the world, contributing USD 1.5 trillion annually to global economies. Yet despite its financial importance, more than 95% of motorised small-scale fishing vessels are uninsured.
The reason for this is clear: insurance products for fisherfolk are inaccessible, unaffordable and inadequate. With increasing risks from climate change, the need for suitable insurance products for this vulnerable group has never been greater. But how can insurers increase insurance uptake? And what can governments do to help?
While Brazil has made some progress in developing a regulatory framework to bring about greater financial inclusion, insurance penetration remains very low and the pace of change has been slow.
The country was severely impacted by the global pandemic, continues to face major socio-economic issues and has one of the highest levels of inequality in the world.
Notwithstanding, the microinsurance market has significant upside potential and while challenges clearly remain, there are significant opportunities for the insurance supervisors, regulators, insurers, public-private partnerships and development partners to work in tandem to deliver meaningful change.
For further insights on the inclusive insurance landscape in Brazil, dig into our latest country briefing note. Our monthly country reports are available to download free of charge for members but also for non-members to purchase on our website.
MiN, Members & Partners: Events
- International Conference on Inclusive Insurance 2022 | Read event summary
- MiN Expert Forum: What is the impact of different distribution channels for inclusive insurance health products | Wednesday, 7 December 2-3:30pm CET | Register now (members only)
- e-MFP: hybrid European Microfinance Week 2022 closes – with discussion of successes, disappointments, and future opportunities
- European Microfinance Award 2022: Banco FIE from Bolivia takes home prize on financial inclusion that works for women
- GSMA: Tackling Social Norms to Reduce the Gender Digital Divide in India | Thursday, 1 December 2-3pm CET | Join via LinkedIn here
MiN, Members & Partners: News, Blogs, Jobs & Resources
- MiN: Inclusive insurance in Brazil | download now in English & Spanish (Portuguese version coming soon)
- MiN: ED Katharine Pulveramcher interviewed on “Closing the gender gap in financial services”
- ADA assists financial institutions in digitalising their financial products for the agricultural sector in West Africa
- ADA – Banco FIE in Bolivia: the story of a small NGO that became an autonomous bank
- ARC poised to develop micro, meso insurance in The Gambia
- Blue Marble & APA Insurance collaborate with Nespresso to launch coffee parametric insurance solution in Kenya
- Etherisc & Blue Marble included in latest cohort of WFP’s Innovation Challenge paving the way to Zero Hunger in a time of climate crisis
- Cenfri: What will it take to build innovative insurance markets in Sub-Saharan Africa?
- Cenfri & FSD Africa: Regulating for innovation in Africa – Cross-country synthesis note
- IAA: Young Actuaries World Cup entry – A bridge to inclusive insurance | watch video
- IDF at COP27: Actions speak louder than words
- IFC and ILO launching new CoP on women and insurance for 2023-24 | Request an application form to join | Deadline: 9 December
- Inclusivity Solutions - CEO Perspectives: Closing the Protection Gap in Emerging Markets
- InsuResilience: Overview of the Global Shield
- MIC at Milliman & IFAD: Engaging smallholder farmer communities to develop index-based insurance: Building buy-in and a sense of ownership
- MIC Global Partners with Waada Digital Creating Pakistan’s Largest Insurtech
- Radiant Yacu - Agriculture insurance: Demystifying the role of public-private partnerships
- Rural Inclusion partners with Opportunity International in Uganda and Malawi
- UNCDF launches first Parametric Microinsurance Product for Climate Vulnerable Communities in Vanuatu
- UNCDF and Tractable team up to bring the power of artificial intelligence to natural disaster recovery in Fiji
- UNCDF campaign: Women’s Digital Financial Literacy in Ethiopia | share resources by 30 November
- UNDP - Insurance and telemedicine in Africa: A moonshot in response to COVID-19 | Download report
- UNEP-PSI & Aon: Using a Captive Insurance Company to Drive Positive ESG Outcomes | read report
- WFP, UK, Germany and World Bank come together to expand risk financing for communities vulnerable to climate shocks
- Women’s World Banking – Women-Centered Design: Making Financial Products and Services Work for Women
- Women’s World Banking: Making Jan Dhan Work for Rural Women | Read report
- World Bank Group Launches Global Shield Financing Facility to Help Developing Countries Adapt to Climate Change
Elsewhere in the sector…
- 30x in 1 year: Insurance pilot with 4k Nigerian farmers leads to a scale-up across 3 countries
- AFI: Developing economy financial regulators use Inclusive Green Finance to build resilience and mitigate against impact of climate change
- Bangladesh: Agriculture insurance still elusive
- COP27 Reaches Breakthrough Agreement on New “Loss and Damage” Fund for Vulnerable Countries
- Digitally Reshaping Inclusive Financial Services in the Wake of COVID-19
- Egypt and Morocco regulators sign MoU
- Fiji: Tower launches Cyclone Response Cover pilot in two Fijian villages
- Gender, climate and finance: How financial institutions can support a gender-just transition
- ICMIF: New Innovation Challenge Fund to boost financial resilience of low-income populations in developing countries
- IPA: Annual Report 2021
- The Changing Shape of Insurance Innovation
- The insurance experience: perspectives on impact investing in institutional portfolios
- The Geneva Association - Responsible use of data in the digital age
- Towards SDG 3: Telemedicine as a service, bridge to universal health coverage
- Vietnam: Igloo launches the first blockchain-based weather index insurance for rice farmers, in partnership with PVI Insurance, VNMHA and SCOR